The Panama City Beach Condominium Market

by Wendell Browne on February 15, 2016

Today’s post will review the current condominium market on Panama City Beach and will also take a peak of historical market trends experienced by this market segment since 2003. As I’ve written in the past, it’s important to recognize how your investment is performing long term vs the expectations of a large instant equity position of years past.

Current Market Trends

Overall sales volume for the Beaches condo segment was up in each Quarter of 2015 with the exception of the 3rd Quarter period which experienced a drop in overall sales as compared to the prior 12 month lookback period. The Beaches condo market closed out the year strong having a 24% increase in total sales volume as compared to the prior 12 month Quarter period. This market segment closed out 2015 experiencing a +3% increase in the median sales price. In reviewing MLS data for the Beaches condo market, this segment is oversupplied reflecting some 11 months of inventory based on absorption rates through January of 2016.

Panama City Beach Condo Market Trends -Then vs Now

As reflected from the chart above, values in the Condo sector tumbled from the market peak in 2005. Depending on when you may have purchased your Beach condo unit, your equity position may be positive or even negative.

Looking at the market over the last five year period, this market segment has been recovering nicely. Some of this market momentum has brought some high expectations of owners in regards to current listing prices of existing units.

As the temperature heats up on Panama City Beach, so will the condo market. As Panama City Beach gears up for the peak season in the condo market, the current oversupply of inventory will most likely continue to be gradually absorbed.

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{ 4 comments… read them below or add one }

1 Ryan Lundquist

Nice job Wendell. I love the graphs. Do you ever include a legend in your graphs? I had to look closely to know what the line and bars were.


2 Wendell Browne

Thank you, Ryan. Generally, I do include a legend although I see it was not inserted with that analysis. Appreciate your feedback and thanks for reading.


3 Tom Horn

Great info. Wendell. Looks like your area is similar to mine in that while there is an upward trend we are still not quite to where we were in the peak years. Keep up the good work.


4 Wendell Browne

Appreciate it, Tom. Yes, still have a ways to go


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